Monday

26th Feb 2018

Eurozone ministers impatient on Greek bailout review

Greece came under renewed pressure to reach a deal with creditors on the latest round of cuts and economic reforms at a meeting of eurozone finance ministers in Brussels on Monday (28 January).

Troika officials representing Greece's creditors began their latest review of the implementation of the country's €240 billion rescue in September.

Thank you for reading EUobserver!

Subscribe now for a 30 day free trial.

  1. €150 per year
  2. or €15 per month
  3. Cancel anytime

EUobserver is an independent, not-for-profit news organization that publishes daily news reports, analysis, and investigations from Brussels and the EU member states. We are an indispensable news source for anyone who wants to know what is going on in the EU.

We are mainly funded by advertising and subscription revenues. As advertising revenues are falling fast, we depend on subscription revenues to support our journalism.

For group, corporate or student subscriptions, please contact us. See also our full Terms of Use.

If you already have an account click here to login.

But they are still to approve the next tranche of a rescue loan, with offficials indicating that an agreement was unlikely to be reached before the end of February.

The review “is taking too long,” Jeroen Dijsselbloem, the Dutch finance minister and chairman of the “Eurogroup,” said. “It’s been going on since September-October, and I think it’s in the joint interest of us and the Greek government to finalise it as soon as possible.”

Dijsselbloem also told reporters that any further discussions aimed at tackling an estimated €11 billion shortfall in Greece's finances in 2014 are on hold.

“We’ve made it quite clear that we’re not going to come back to it until there is a final positive conclusion to the review,” he noted.

"We call on Greece and the troika to do the utmost to conclude the negotiations," he added.

The Greek government is not facing an imminent cash-flow crisis, but says it has no political room to implement any more spending cuts.

The Greek government says its economy will emerge from six years of recession in 2014, and record a primary budget surplus of 1.6 percent of GDP in the process.

It also says that a primary surplus should see its creditors reduce the country's debt burden as part of the bailout agreement.

For his part, Greek finance minister Yannis Stournaras said he hoped a deal could be reached next month, paving the way for the release of more financial aid in March. He also suggested that Greece would record a primary surplus for 2013, estimated at €830 million.

Stournaras noted that any fiscal gap for 2015 would be covered with structural reforms, not further austerity measures.

Ministers also discussed the conclusion of Portugal's rescue package, as well as the implications of the wind-down of the US economic stimulus.

The gradual reduction in the US Federal Reserve's multi-billion dollar monthly bond buying programme could lead to a bumpy ride for the global financial system, with emerging countries likely to be the worst affected.

"Of course we are worried about this from the perspective of the emerging countries," Dijsselbloem told reporters. He added: "I am not particularly worried about the risk of contagion. I think the position of the eurozone is different and that we have to maintain our progress."

EU leaders nix transnational lists, cool on 'Spitzenkandidat'

The 'Brussels bubble' ideas for transnational electoral lists was put on ice at the summit, while Jean-Claude Juncker's idea for an EU 'super president' was also rejected. The 'Spitzenkandidat' proposal backed by the European parliament also suffered a rebuff.

News in Brief

  1. EU calls for immediate ceasefire in Syria
  2. UK's post-Brexit vision is 'pure illusion', Tusk says
  3. EU leaders express solidarity with Cyprus in Turkey drill row
  4. EU to double funding for Sahel forces
  5. EU parliament president: 'The immigration problem is Africa'
  6. May to unveil EU departure strategy next week
  7. Pregnant workers may be dismissed, EU court rules
  8. Romanian minister demands anti-corruption prosecutor fired

Stakeholders' Highlights

  1. ILGA EuropeAnkara Ban on LGBTI Events Continues as Turkish Courts Reject NGO Appeals
  2. Aid & Trade LondonJoin Thousands of Stakeholders of the Global Aid Industry at Aid & Trade London
  3. Macedonian Human Rights Movement Int.European Free Alliance Joins MHRMI to End the Anti-Macedonian Name Negotiations
  4. Mission of China to the EUChina-EU Tourism Year to Promote Business and Mutual Ties
  5. European Jewish CongressAt “An End to Antisemitism!” Conference, Dr. Kantor Calls for Ambitious Solutions
  6. UNESDAA Year Ago UNESDA Members Pledged to Reduce Added Sugars in Soft Drinks by 10%
  7. International Partnership for Human RightsUzbekistan: Investigate Torture of Journalist
  8. CESICESI@Noon on ‘Digitalisation & Future of Work: Social Protection For All?’ - March 7
  9. UNICEFExecutive Director's Committment to Tackling Sexual Exploitation and Abuse of Children
  10. Nordic Council of MinistersState of the Nordic Region 2018: Facts, Figures and Rankings of the 74 Regions
  11. Mission of China to the EUDigital Economy Shaping China's Future, Over 30% of GDP
  12. Macedonian Human Rights Movement Int.Suing the Governments of Macedonia and Greece for Changing Macedonia's Name

Latest News

  1. EU agrees budget to focus on defence, security and migration
  2. EU leaders nix transnational lists, cool on 'Spitzenkandidat'
  3. Regions chief: calls for smaller EU budget are 'impossible'
  4. Election fever picks up This WEEK
  5. EU-Morocco fishing deal casts doubt on EU future foreign policy
  6. EU leaders put 'Spitzenkandidat' on summit menu
  7. European far-right political party risks collapse
  8. The key budget issues on EU leaders' table